Pasulka v. Koob

524 N.E.2d 1227, 170 Ill. App. 3d 191, 121 Ill. Dec. 179, 1988 Ill. App. LEXIS 848
CourtAppellate Court of Illinois
DecidedJune 9, 1988
Docket3-87-0335
StatusPublished
Cited by32 cases

This text of 524 N.E.2d 1227 (Pasulka v. Koob) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pasulka v. Koob, 524 N.E.2d 1227, 170 Ill. App. 3d 191, 121 Ill. Dec. 179, 1988 Ill. App. LEXIS 848 (Ill. Ct. App. 1988).

Opinions

JUSTICE SPITZ

delivered the opinion of the court:

This is an appeal from a directed verdict entered in the circuit court of La Salle County. At the close of plaintiff’s evidence, the verdict was directed in favor of defendants Frank N. Koob, individually and as trustee under a declaration of trust dated August 18, 1978, and the Western Sand and Gravel Company (Western), an Illinois corporation. The plaintiffs, William and Marcia Pasulka, in an 11-count amended complaint, sought money damages and injunctive relief stemming from: (1) plaintiffs’ purchase of a parcel of land from Koob at which time they obtained a right of first refusal to purchase “adjacent” land Koob owned and over which “adjacent” land they were advised certain restrictions applied; and (2) the subsequent sale by Koob to Western of an option to purchase another parcel of land which Koob owned at the time of the original sale to plaintiffs and from which Western is mining sand and gravel. The evidence presented at trial is hereafter set out in chronological order.

In 1974, Koob owned 320 acres in sections 2, 3, 10, and 11 in Dimmick Township, La Salle County, Illinois. North 35th Road ran over and along the boundary between sections 2 and 11 and continued over and along the boundary between sections 3 and 10. In addition, the Little Vermilion River coursed over the property in sections 10 and 11. In that year, he entered into an agreement to sell 80 acres, being the east one-half of the northwest one-quarter of section 11, to Bernard and Loretta Cohn. By this agreement, the Cohns would undertake to subdivide the 80 acres and pay the $86,000 purchase price from the proceeds of subsequent sales of lots. This property became known as the Timber Lane Estates, a residential area with covenants filed of record, including the prohibition of commercial enterprise, business, profession or home occupations.

Between June 1977 and November 1979, individually and later as a trustee under a declaration of trust dated August 22, 1978, Koob sold four additional parcels: 3.448 acres in section 3 to Craig and Shawn Lamp; 3.515 acres in sections 2 and 3 to Donald and Anita Albert; 1.770 acres plus a driveway in section 2 to Kenneth and Elizabeth McCaleb; and 2.228 acres in section 2 to Janet Delaney. In each of these sales, the sales agreement restricted the subsequent use of the subject property, and Koob retained a right of first refusal in the event the land was later sold by the purchasers. The restrictions were to run with the land, binding all those who would take from sellers or purchasers. The Lamps also negotiated a right of first refusal in an additional 1.071 acres of section 3 legally described in their agreement with Koob. A similar right of first refusal to an additional tract was stricken from the Alberts’ agreement with Koob. In the agreement with Delaney, Koob’s right of first refusal was restricted to Koob, personally, and did not pass to his heirs, assigns, executors and devisees. The agreements, restrictions and the plat of survey of these tracts were not filed of record in the recorder of deeds office of La Salle County.

In the fall of 1978, the plaintiffs began to search for a prospective homesite. They were looking for a permanent investment and a home-site located near nature, woodlands, farms, and educational systems for their four children and in a quiet atmosphere. They also wanted an opportunity in the future to purchase additional land.

In July 1980, Koob answered a newspaper advertisement plaintiffs had placed. On July 27, 1930, plaintiffs and Koob had an extensive discussion. In that conversation, Koob informed the plaintiffs about how beautiful his land was and about the wildlife that lived there. He advised them that his remaining 229 acres contained a pond, a creek, a large number of trees and wildlife. At that time, there were four homes in the area. The rest was used for farming. Koob stated he had developed Timber Lane Estates and wanted to preserve the rest of his land for all the people who were buying from him. He also stated he had purchased the 80 acres of land on the north side of North 35th Road because it was a junkyard and he wanted to clean it up and transform it into a beautiful area.

Koob talked about the ways in which his land was restricted. He said he had an obligation to restrict all of his land and all he would ever do with his land was sell fine residential homesites and continue grain farming. He also stated he was developing a fine residential area along North 35th Road and had a way of protecting people’s investments without the bother and trouble of a formal subdivision.

Koob told plaintiffs he did not want anyone “messing up” his land and indicated he would enforce the restrictions. In particular, he advised the plaintiffs he did not want them to build an untraditional house that would devalue the neighborhood. Nor would he approve of their family business, which involved the assembly and distribution of residential water purifiers, if it had employees or customers entering on the land. He wanted to discuss with Craig Lamps the delivery of equipment to plaintiffs by a semitractor-trailer three or four times a year, although Koob saw no problem with it. He asked Lamps in plaintiffs’ presence if that was all right. Koob pointed out an abandoned gravel pit on his land but said it would never be reopened. The pit had last been used between 1965 and 1967. He said he hated quarries because they permanently destroyed land and would never sell to a quarry. In discussing with Koob other homesites plaintiffs were looking at, Mrs. Pasulka expressed her concern about living near a silica plant near Mendota, and Koob discouraged her from choosing a homesite near a pig farm. Plaintiffs asked Koob if he would be willing to sell them an additional parcel of land to the south. Koob replied he would, but not at that time. When plaintiffs inspected the property, plaintiffs could see the tips of the old mine spoils in section 10, south of the river, but plaintiffs did not go across the river to look at the pit.

Koob showed plaintiffs a survey of seven tracts of real estate. The plaintiffs ultimately decided to purchase tract 2, a 4.287-acre parcel located in section 10, at a price of $25,500. A proposed agreement was drafted by Koob’s attorney which was subsequently modified at the request of plaintiffs, who were represented by counsel. In the modified agreement, paragraph 9, in part, provided plaintiffs with a right of first refusal as to “adjacent property owned by the Seller.” In addition, a paragraph was added to the page of restrictions on the property which states: “The Purchasers are assured that these restrictions shall be included in the sale by the Seller of any adjacent property owned by him.” The sale was consummated on November 7, 1980.

At the time of plaintiffs’ purchase, the neighborhood was quiet, peaceful, and beautiful with much wildlife. It was basically a farming community with 27 homes, including those in Timber Lane Estates. The closest industrial facility was Manley Sand Company, three miles away, and Troy Grove Quarry, 2¾ miles away. The road was in good condition with normally light traffic.

In August 1983, Dimmick Township placed an ad in the La Salle News Tribune seeking to purchase a one-acre site for use as a heavy equipment storage building. Koob answered the ad and said he was willing to sell tracts 1 or 3 illustrated on the seven-parcel plat he had previously shown plaintiffs.

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Cite This Page — Counsel Stack

Bluebook (online)
524 N.E.2d 1227, 170 Ill. App. 3d 191, 121 Ill. Dec. 179, 1988 Ill. App. LEXIS 848, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pasulka-v-koob-illappct-1988.